Dollar-Yen Rangebound Ahead of Key Economic Indicators

The dollar-yen pair is expected to trade in a range around mid-157 as US and Japanese officials intervene to cap yen weakness.

Despite briefly dipping below 157 during US trading hours last week, the pair has since recovered to this level due to support from elevated US long-term interest rates.

The projected range is between 156.80 and 158.00 per dollar, with some market participants expecting the pair to continue trading within this range.

Tsutomu Nakamura of Gaitame.com Research Institute noted that the dollar-yen will likely find downside support in the 156 range, while upside resistance will strengthen in the 158 range following warnings from US and Japanese authorities over yen weakness.